Boney, Insurance Comr. v. . Insurance Co.

This action was instituted by the State of North Carolina on the relation of Dan C. Boney, Insurance Commissioner, against the Central Mutual Insurance Company of Chicago, an insolvent corporation, for the purpose of liquidating the deposit made with the Insurance Commissioner by the defendant, as required by the statute for the privilege of doing business within the State.

Paul F. Smith was duly appointed receiver and the Home Insurance Agency, Inc., filed with him its claim. The receiver disallowed the claim and reported in connection therewith his reasons therefor as follows: "(1) No valid…